Salesperson Denise Huang's Alaska real estate license expired two months ago. She forgot to renew it on time. A client approaches her to list his home, and Denise proceeds to show properties and negotiate on his behalf without disclosing that her license has expired. Under AS 08.88, what is the most serious consequence Denise could face?
Correct Answer
C) Denise may face disciplinary action by AREC, including denial of license reinstatement, and may be subject to criminal penalties for practicing without a license.
Under AS 08.88, practicing real estate without a valid license is a violation of Alaska law that can result in AREC disciplinary action, including denial of reinstatement, as well as criminal penalties. Knowingly practicing without a license and failing to disclose the lapsed status to a client compounds the violation and exposes Denise to the most serious regulatory and legal consequences.
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Related Topics & Key Terms
Key Terms:
Related Concepts
License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.
Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
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